Locate Bio receives £2.0 million investment from Mercia and the MEIF to expand its cell and gene therapy pipeline

NOTTINGHAM, UK, 15 May 2019 – Locate Bio Ltd
(“Locate”), a cell and gene therapy company using its proprietary next
generation technologies to develop breakthrough and potentially curative
therapies, today announces that it has received an additional £2.0 million of
investment from Mercia Technologies PLC (AIM: MERC) and its third party
fund, the Midlands Engine Investment Fund. The investment will allow the
company to expand the application of its technologies, including
its promising gene therapy technology IntraStem™, into new high value therapy
areas both to broaden its in-house development pipeline and provide additional partnering
opportunities.

Mercia Technologies PLC (“Mercia”) is the UK national
investment group focused on the identification, creation, funding and scaling
of innovative technology businesses with high-growth potential from the UK
regions. The £2.0 million financing announced today comprises £1.8 million of
direct investment from Mercia and with the remaining amount coming from the
Midlands Engine Investment Fund, which the Group manages on behalf of the
British Business Bank. Mercia’s direct equity stake is now 21.6%.

Nick Staples, CEO of Locate, said: “Locate is in an exciting phase of growth and these new funds will allow us to further develop our non-viral gene therapy technology IntraStemwhile continuing to utilise our TAOS platform for cell delivery and other applications, as we look to expand our in-house pipeline. These next generation technologies overcome current industry challenges in the fast-growing gene and cell therapy fields, providing a major business opportunity for Locate.”

Peter Dines, Chief Operating Officer and Head of Life
Sciences & Biosciences of Mercia, said: “Locate has continued to
make important progress in developing its TAOS® and IntraStem™ technologies.
These proprietary technologies have the potential to address multi-billion
pound markets in the exciting and fast-growing areas of gene and cell therapy.
We look forward to continuing to support Nick and the Locate team move this
cutting-edge technology forwards.”

Locate’s CEO, Nick Staples and other members of senior management will be attending BioEquity on 20-21 May in Barcelona and BIO 2019 on 3-6 June in Philadelphia and will be available for meetings.